On March 18th, 2003, the United States Attorney for the Southern District of Florida announced the indictment and arrest of John R. Boyd and Christopher Curbello, for securities fraud and conspiracy to commit securities fraud. Previously, on August 1, 2002, the Commission filed fraud charges against Curbello and Boyd in the United States District Court for the Southern District of Florida. Boyd is the former president of Paragon Construction International, Inc., which was a wholly owned subsidiary of Golden Bear Golf, Inc. Curbello was Paragon's vice president for operations. The Indictment and the Commission's civil complaint allege that Boyd and Curbello artificially inflated and accelerated Paragon's revenue and gross margin recognition by misrepresenting the true status of its construction contracts, causing Golden Bear to file false and misleading financial statements for its 1997 fiscal year and for the first quarter of 1998.

Curbello was arrested on March 14, 2003 in San Antonio, Texas, and has a pre-trial detention hearing in San Antonio on Thursday, March 20, 2003. Boyd was apprehended on March 18, 2003 in Bogotá, Colombia, by the FBI and the Secret Service, and is scheduled to appear in United States Magistrate's Court today in West Palm Beach.